With the widespread application of computer numerical control (CNC) machine tools in high-precision manufacturing, their machining accuracy has garnered significant attention. Thermal errors generated during machining processes are one of the primary factors affecting accuracy. Although thermal error compensation technologies have been extensively researched and implemented in practice to improve machine accuracy, existing methods still face limitations in the dynamic thermal behavior analysis and adaptability in practical applications. This paper delves into the thermal error compensation technologies for CNC machine tools, exploring measurement, prediction, and compensation methods. Firstly, it enhances the accuracy and efficiency of measurements by optimizing the layout of temperature measurement points through a detailed analysis of the mechanisms of thermal error generation. Secondly, it introduces a prediction framework based on digital twin technology to accurately simulate and predict the thermal behavior of machine tools. Lastly, it employs an optimized back propagation neural network (BPNN) for intelligent modeling of thermal errors, thereby improving the prediction accuracy and response speed. These studies not only aid in improving the design and operation of machine tools but also provide theoretical and technical support for high-precision machining.